The payday of January 1, 2010 was a holiday so employees were paid on December 31, 2009 resulting in one extra pay check for 2009.

Compensation:

The information provided includes all compensation, either paid to the employee or paid by the employer on behalf of the employee.

Employee’s regular wages

Premium pays

Special assignment pay

Allowances

Leave payouts

Overtime

Health Care

*

Retirement Contributions

**

*An employee receives, as pay, an amount determined by each employment agreement to be applied to health care premiums which are then deducted from pay. Those employees who do not use the health care programs available are provided a smaller cash payout in lieu of the health care benefit.

**For some employees, the city pays the employee’s contribution to the retirement plan. The city also makes contributions, 2% to 5% depending on agreement, to a deferred compensation plan on behalf of the employee. See our glossary for additional information on Compensation Terms.

The city incurs other costs as a result of employing individuals to provide services-costs that are not “compensation” to the employee, e.g., city contributions to PERS for employee pensions, unemployment insurance contributions, employee assistance program payments to a third party provider, premiums for workers compensation insurance, and the 1.45% Federal payroll tax for Medicare (an additional 1.45% is paid by the employee).

California Local Government Reporting

After the city compiled and posted its own information, the State Controller’s Office collected local government compensation information from all cities and produces the Local Government Compensation Report format required by the State Controller is different than the compensation report posted above.

The state report excludes the name of the employee, but includes the department in which the employee works.

The state report includes the minimum and maximum annual base wage for each position.

The state report requires ‘box 5’ (wages subject to medicare) as reported on the 2009 W-2 form filed with the IRS.

The most significant difference is the amount of detail. The City of Morgan Hill reports every earnings category for a total annual compensation. This is not the same as box 5. Box 5 is adjusted for numerous items that vary according to the personal circumstances of each employee.

Labor Agreements

Management employees are non-represented and work under a council adopted resolution.

The city manager and city attorney have separate employment contracts.

Bargaining units:

Police Officers Association (POA)

Community Service Officers Association (CSOA)

American Federation of State, County and Municipal Employees (AFSCME)

These employment agreements are referred to as memoranda of understanding (MOU).

The current memoranda of understanding, resolution and contracts can be found on the Labor Agreements page.

Schedules

Salary schedules for each labor agreement are available for your review. The schedules include any pay adjustments, as negotiated, with each bargaining unit through the end of the contract period. Additional information regarding the positions listed can be found in Job Descriptions.